Monday, 24 Jun 2024

Three genius strategies for raising kids to smart about money



NEWS24.CO.ID -  Sometimes, talking about money to our children isn’t easy, because it can be even more challenging.

So, how do you make sure your child isn’t spoiled with money? 
How do you deal with their college debt? 
Talking about money  to help build financial confidence is never too early or too late.

But, please don’t let that send you into a panic. According to research from the University of Michigan in Ann Arbor wrote that learning financial skills is like learning to tie your shoes or play the clarinet, it takes practice.

Joline Godfrey, author of Raising Financially Fit Kids said there are three things to teach your kids about money since young aged.

1. Communicate about money
The easiest thing to do is talk about money conversations around your kids, but not in an “I’m so stressed about bills” way. 

Rather, share your excitement about a bargain or the fact that you’ve saved enough for a vacation. 

For kids ages 4 to 7, Godfrey says to focus on using money terms “save,” “share,” “choose”.

2. Open a savings account
Picking out a special piggy bank can build excitement about saving, says Jeannine Glista, cocreator and executive producer of Biz Kid$, a TV series that teaches kids about money and business. 

To saving money is fun for kids to do, so they must encourage for saved that. When they receive a larger amount of money, take them to the bank to deposit it into a savings account. 

Even, you could deposit the same amount into your own account to show them you’re saving along with them.

3. Involve them when your shopping
When you say, “Wow, this is on sale for USD 3!” it shows your child that you recognize the price, see the value, and are making a decision about whether to buy it.

Hand them cash to use and get the change back. They’ll start understanding that things cost money and becoming aware of personal responsibility for purchases.